The first joint venture, which sees an ownership split of Palfinger holding 49% and Kamaz 51%, will equip trucks with loading and handling systems for use in the CIS. It is targeting delivery of more than 3,000 truck bodies per year by 2019, with a network of dealers and service centres being established in addition to Kamaz’s existing network.

Palfinger will have a 51% stake in the second joint venture – a cylinder production facility owned by Kamaz in the Bashkortostan region. Palfinger will acquire the stake from Kamaz and then invest in modernising the production facilities.

A target output of 80,000 cylinders for cranes, trucks and building machinery has been set for the plant by 2019.

Both ventures need necessary approvals but are scheduled to be completed by the end of November.

Palfinger CEO Herbert Ortner described the joint ventures as a very important step in securing and expanding its business in the CIS.

Herbert Ortner, Palfinger CEO, said: "This region has already become a highly important market for Palfinger and, in line with our strategy, we intend to expand local production and intensify on-site value creation. In Kamaz we have found a flexible and performance-oriented partner for our undertaking."